Jun 6, 2008 10:23 am US/Central
Michael Reese Hospital Could Close By Fall
Olympic Village May Be Built On Site If 2016 Games Come To Chicago
CHICAGO (CBS) ―
The owners of Michael Reese Hospital on the city's Near South Side plan to shut it down as early as this fall.
The parent company of the 450-bed hospital, at 2929 S. Ellis Ave., submitted a plan to state regulators this week. The owners say the hospital, which opened in 1881, has been losing money and its conditions are deteriorating.
The letter also reportedly says the hospital is likely to lose its lease, since the landowner wants to use the property for a possible Olympic Village if Chicago gets the 2016 Summer Games.
The hospital first opened to care for poor immigrants, and was the site of medical innovations in the early part of the 20th century, including Julius Hess' infant incubator and the first permanent incubator for premature infants, according to the Encyclopedia of Chicago.
Michael Reese has also gained prestige as a teaching and research center, and for its psychiatric and mental health programs.
The hospital is currently owned by Doctors Community Healthcare Corporation, headquartered in Scottsdale, Ariz.
Last year, Reese's financial woes prompted the hospital's owners to enter discussions with Cook County on a possible merger with Provident Hospital. But on Thursday, county attorney Laura Lechowicz-Felicione said the county is no longer in active talks with Reese and any decisions to merge the two hospitals is now up to the county's independent hospital board.
"We remain willing to explore [options]," Lechowicz-Felicione said.
Reese's plans to close have to be approved by the Illinois Health Facilities Planning Board. The earliest that could happen is in four months, after a formal application has been filed and reviewed by the board.
The STNG Wire contributed to this report.
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